“BANKS” – GOING BANKRUPT!!!
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(No Ratings Yet) Loading ...By divya
Published: July 9, 2009
Banks going Bankrupt??? Sounds Shocking???
Yes, indeed it was a great shock for the banking industry as such when “Lehman Brothers Holdings Inc.” filed for bankruptcy protection under Chapter 11 of U.S.A Brankruptcy code on Sep 15, 2008 and also had given away its assets which was close to $600 Billion while filing.
“Lehman Brothers Holdings Inc.” was founded almost way back in 1850, headquartered at New York, United States with regional headquarters at London and Tokyo. Lehman was a global financial service firm diversified in Investment Banking, Private banking, Investment management, Equity and fixed income sales, Private equity and Trading. It was also a primary Dealer in the U.S. Treasury Securities market.
During 2008, Lehman Brothers had underwent a huge loss due to the credit crunch (on Sep 15th) and the Subprime Mortgage crisis. The share prices were also dripped off to less than $10 dollars. Lehman, being the fourth biggest investment bank in America has recorded for the largest bankruptcy in the history of U.S bankruptcy since 2002, causing a quake in the financial market.
At the same time, Bank Of America takes over Merill Lynch for $50 Billion.
Tagged with: Credit Crunch, Investment banking, Lehman brothers Bankruptcy, Merill Lynch
